Empire Life Insurance Review: Is It Right for You in 2025?
Our expert's opinion on Empire Life
In Canada, Empire Life offers a solid and reliable life insurance portfolio, featuring a diverse range of term and permanent plans with guaranteed payout integrity and several optional riders for customization. Its Optimax Wealth whole life policy is structured for strong cash-value accumulation with a dividend scale guaranteed to not fall below zero, while premium payment options offer good flexibility. Against its main competitors, Empire Life strategically carves out a niche by offering some of the most competitive rates for smokers and medicinal marijuana users, though its standard premiums are often mid-range.
Empire Life is particularly well-suited for young families needing flexible term lengths for mortgage protection, individuals with specific health profiles like smoking or marijuana use, and investors seeking stable cash-value growth from permanent policies.
The insurer’s stability is demonstrated by a very high 99.6% individual life insurance claims payout rate in 2020, and it supports policyholders with modern digital tools, including an online application process and the MyEmpire customer portal for policy management.
- ✅Competitive rates for smokers
- ✅Non-smoker rates for medicinal marijuana users
- ✅Term policy renewal available up to age 100
- ✅High 99.6% individual life claim payout rate
- ✅Flexible payment options for whole life policies
- ✅Guaranteed zero-floor dividend scale on whole life
- ✅Online application and quote process
- ❌Mid-range premiums for standard applicants
- ❌Strict underwriting for numerous health conditions
- ❌Medical tests required for preferred smoker status
- ❌No critical illness coverage for certain conditions
- ❌Complex permanent policy investment components
Score- ✅Competitive rates for smokers
- ✅Non-smoker rates for medicinal marijuana users
- ✅Term policy renewal available up to age 100
- ✅High 99.6% individual life claim payout rate
- ✅Flexible payment options for whole life policies
- ✅Guaranteed zero-floor dividend scale on whole life
- ✅Online application and quote process
Our expert's opinion on Empire Life
- ✅Competitive rates for smokers
- ✅Non-smoker rates for medicinal marijuana users
- ✅Term policy renewal available up to age 100
- ✅High 99.6% individual life claim payout rate
- ✅Flexible payment options for whole life policies
- ✅Guaranteed zero-floor dividend scale on whole life
- ✅Online application and quote process
- ❌Mid-range premiums for standard applicants
- ❌Strict underwriting for numerous health conditions
- ❌Medical tests required for preferred smoker status
- ❌No critical illness coverage for certain conditions
- ❌Complex permanent policy investment components
Score- ✅Competitive rates for smokers
- ✅Non-smoker rates for medicinal marijuana users
- ✅Term policy renewal available up to age 100
- ✅High 99.6% individual life claim payout rate
- ✅Flexible payment options for whole life policies
- ✅Guaranteed zero-floor dividend scale on whole life
- ✅Online application and quote process
Why trust HelloSafe?
At HelloSafe, our life insurance experts review the coverage options and pricing structures of life insurance policies available on the market each year to provide you with a reliable and unbiased review. Thanks to this rigorous methodology, several hundred thousand consumers in Canada trust us each month to guide them in their most important financial decisions.
Empire Life Life Insurance Guarantees
Empire Life is a long-standing Canadian insurer known for its straightforward life insurance products and competitive pricing, especially for smokers who qualify for preferred rates.
As one of Canada's oldest life insurance companies, Empire Life operates as a traditional, advisor-distributed insurer with an increasing focus on digital tools and online access for clients.
Their product suite is designed to meet foundational protection needs, offering both temporary and permanent solutions that can be customized with various riders.
- Term Life: Offers flexible terms (10, 20, 30 years and up to age 100), convertible to permanent coverage, designed for temporary needs like income replacement and mortgage protection.
- Whole Life: Provides permanent coverage with guaranteed cash values, participating dividends for potential growth, and flexible premium payment options (8, 10, 20 years, or life).
Key riders available may include:
- Accidental Death & Dismemberment (AD&D)
- Waiver of Premium for disability (WOP)
- Critical Illness
- Conversion guarantee
| Feature | Term Life | Whole Life | Universal Life | Hybrid |
|---|---|---|---|---|
| 🪙 Death benefit | Guaranteed level for the term | Permanent, guaranteed, plus potential dividend growth | ❌ | ❌ |
| 📈 Cash value accumulation | ❌ | Yes, guaranteed and tax-deferred | ❌ | ❌ |
| 💸 Policy loans | ❌ | Yes, against cash value | ❌ | ❌ |
| 🛡️ Available riders | AD&D, WOP, Children's Life & CI Rider | AD&D, WOP, Children's Life & CI Rider | ❌ | ❌ |
| 🔄 Conversion guarantee | Yes, to permanent plans | ❌ | ❌ | ❌ |
| 📈 Participating dividends | ❌ | Yes | ❌ | ❌ |
| 💲 Cost of key riders (% of base premium) | 5-20% | 5-20% | ❌ | ❌ |
| 🔄 Premium flexibility | ❌ | Limited (based on payment schedule) | ❌ | ❌ |
| ⏳ Surrender charges | ❌ | Yes, decreasing over the initial policy years | ❌ | ❌ |
| 🎂 Issue age range | 18-75 | 0-80 | ❌ | ❌ |
| 🔒 Guaranteed level (if applicable) | Yes, premiums and death benefit are level for the term | Yes, base premium and death benefit are guaranteed | ❌ | ❌ |
The Cost of Empire Life Insurance
Empire Life determines its life insurance premiums through a detailed underwriting process that assesses an individual's risk profile.
Key factors such as age, health status, lifestyle, and family medical history are analyzed to classify the applicant and calculate the cost of insurance.
The final premium is also shaped by the specific policy choices, including the type of coverage, the death benefit amount, and the addition of any optional riders.
This ensures the price accurately reflects the level of risk the company is assuming.
- Age: Premiums increase substantially with age, typically rising by 60-90% for each decade of life.
- Health status: A clean bill of health secures standard rates, while conditions like high blood pressure, diabetes, or a high BMI can result in rated premiums that are 50-200% higher.
- Smoker status: Smokers and nicotine users pay significantly more, often 80-150% above non-smoker rates, although Empire Life offers competitive "preferred smoker rates" for otherwise healthy smokers seeking higher coverage.
- Coverage amount: While a larger death benefit increases the total premium, the cost per thousand dollars of coverage often decreases at higher amounts (e.g., over $1 million).
- Payment term: For permanent policies, shorter payment periods like 10 or 20 years result in higher annual premiums compared to lifetime payment plans.
- Rider costs: Adding optional benefits like a Waiver of Premium or Accidental Death and Dismemberment can increase the base premium by 5-20%.
| Profile | Coverage amount | Non-smoker premium | Smoker premium | Professional premium |
|---|---|---|---|---|
| Healthy individual, 30 | $500,000 | $30/month | $55/month | ❌ |
| Individual with health condition, 45 | $250,000 | $75/month (rated) | $140/month (rated) | ❌ |
| Healthy professional, 40 | $1,000,000 | $58/month | $110/month | ❌ |
The Surrender Charges for Empire Life Life Insurance
For Empire Life permanent insurance policies that build cash value, such as their Whole Life plans, a surrender charge is applied if the policy is terminated within a specified initial period. This charge is a contractual fee that allows the insurer to recover the costs of issuing the policy. There is a defined waiting period, known as the surrender charge period, during which these penalties apply. The charge is highest in the first policy year and decreases annually according to a set schedule, eventually reaching zero. After this period, the policy can be surrendered without a fee. The impact of this charge is a direct reduction of the cash surrender value; the final amount paid to the policyholder is the policy's accumulated cash value minus the applicable surrender charge.
| Year | Fee % | Example & Tax treatment |
|---|---|---|
| 1 | 10% | CAD 90,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
| 2 | 8% | CAD 92,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
| 3 | 6% | CAD 94,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
| 4 | 4% | CAD 96,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
| 5 | 2% | CAD 98,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
| 6+ | 0% | CAD 100,000 returned on CAD 100,000 value. Any policy gain (surrender value minus Adjusted Cost Basis) is taxable income. |
Example of surrender charges
Using a policy with a cash value of CAD 100,000 as an example, surrendering in year 1 incurs a 10% charge, resulting in a capital return of CAD 90,000. If the same policy is surrendered in year 5, the charge is only 2%, and the capital returned is CAD 98,000.
The Exclusions and Limitations of Empire Life Life Insurance
Empire Life insurance policies contain specific exclusions and limitations under which a death benefit may not be paid:
- Suicide first two years: The benefit is not paid if the insured's death is from suicide within two years of policy issuance.
- Misrepresentation: A policy can be voided for material misstatements or omissions made on the insurance application.
- Criminal acts: Coverage is denied if death occurs during the commission or attempted commission of a criminal offense.
- High-risk activities: Death from hazardous hobbies like rock climbing or deep scuba diving may be excluded unless specifically underwritten.
- Private aviation: Death while operating a non-commercial aircraft is excluded unless specifically approved with an extra premium.
- Acts of war: Death resulting directly or indirectly from a declared or undeclared act of war is not covered.
- Assistance services: The policy does not include repatriation, medical teleconsultation, or other similar assistance services.
What customers think of Empire Life's life insurance
The following points summarize feedback on the Empire Life customer experience:
✅ The company is recognized for its long-standing stability and experience in the Canadian market.
✅ A key advantage is the competitive pricing offered to smokers, especially for higher coverage amounts.
✅ The ability to renew term life insurance policies up to the age of 100 is a unique feature.
✅ A very high claims payout rate for individual life insurance provides confidence to policyholders.
❌ A drawback is that medical fluid tests are required to qualify for the company's preferred smoker status.
❌ The investment components within the permanent insurance products are often described as complex.
❌ The standard premium rates are generally considered to be in the mid-range when compared to other insurers.
How to Contact Empire Life?
| Means of communication | Contact Details |
|---|---|
| Address | 259 King Street East; Kingston, Ontario; K7L 3A8 |
| Phone | 1 800 561-1268 |
| insurance@empire.ca | |
| Website | https://www.empire.ca/insurance/life-insurance |
| Hours | Monday to Friday, 8:00 a.m. to 8:00 p.m. EST (French), 8:00 a.m. to 8:00 p.m. EST (English) |
| Live Chat | ❌ |
| Social Media | Facebook, LinkedIn, X, Instagram |
FAQ
Is the payout from Empire Life insurance policies in Canada taxable?
The death benefit paid to beneficiaries is not considered taxable income in Canada. However, any policy withdrawals or surrenders that result in gains above the adjusted cost base are subject to income tax. Tax implications can differ for investment-linked policies.
What is the process to cancel or surrender my Empire Life policy?
You may submit a written cancellation or surrender request at any time. Surrender charges may apply in the early policy years, and the cash value returned can be less than total premiums paid. Surrendering can trigger a taxable event if the cash value exceeds your policy's adjusted cost base.
How long does it take to receive a death benefit payout?
Once all required claim documents are received, Empire Life typically processes and pays life insurance death claims within 5–10 business days. Delays are rare but may occur if additional information or verification is needed. Electronic funds transfer or cheque options are available.
Can I change my beneficiary, and if so, how?
Yes, beneficiaries can be changed at any time by submitting a signed beneficiary change form. Empire Life recommends reviewing your beneficiary designations following life events such as marriage or birth. Changes are effective upon receipt and recording by the insurer.
Are medical exams always required to get coverage?
Medical exams are required for larger coverage amounts and for applicants with higher health or lifestyle risks. For smaller face amounts, Empire Life often relies on medical questionnaires, but acceptance is still subject to underwriting review. Critical illness coverage frequently requires additional health evidence.
Is the payout from Empire Life insurance policies in Canada taxable?
The death benefit paid to beneficiaries is not considered taxable income in Canada. However, any policy withdrawals or surrenders that result in gains above the adjusted cost base are subject to income tax. Tax implications can differ for investment-linked policies.
What is the process to cancel or surrender my Empire Life policy?
You may submit a written cancellation or surrender request at any time. Surrender charges may apply in the early policy years, and the cash value returned can be less than total premiums paid. Surrendering can trigger a taxable event if the cash value exceeds your policy's adjusted cost base.
How long does it take to receive a death benefit payout?
Once all required claim documents are received, Empire Life typically processes and pays life insurance death claims within 5–10 business days. Delays are rare but may occur if additional information or verification is needed. Electronic funds transfer or cheque options are available.
Can I change my beneficiary, and if so, how?
Yes, beneficiaries can be changed at any time by submitting a signed beneficiary change form. Empire Life recommends reviewing your beneficiary designations following life events such as marriage or birth. Changes are effective upon receipt and recording by the insurer.
Are medical exams always required to get coverage?
Medical exams are required for larger coverage amounts and for applicants with higher health or lifestyle risks. For smaller face amounts, Empire Life often relies on medical questionnaires, but acceptance is still subject to underwriting review. Critical illness coverage frequently requires additional health evidence.
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